Princes Group is set to float on the London Stock Exchange this morning, pricing its shares at the bottom end of the projected range.
The tinned fish to edible oils supplier set its IPO offer price at 475p, giving the business a market cap of £1.16bn.
Earlier this month, Princes set the price range for the flotation at 475p to 590p per share. The group had hoped for a valuation of about £1.5bn when it first announced its plans.
Princes will raise about £420m as it issues new shares on London’s main market, with the proceeds set to finance further M&A to grow the group’s £2.1bn revenues.
CEO Simon Harrison said today marked “a defining moment” in Princes’ Group’s journey as it began life as a publicly listed company.
“This milestone is a testament to the strength of our brands, the dedication of our people, and the trust placed in us by customers and partners across the globe,” he added.
“For nearly 150 years, Princes has been a name synonymous with quality, value, and innovation in food and drink. Our listing on the London Stock Exchange reflects not only our heritage but also our ambition for future growth.
“As we look ahead, we remain focused on expanding our international footprint, deepening our category leadership, and delivering sustainable, long-term value for all our stakeholders. I’m incredibly proud of what we’ve achieved and even more excited about what lies ahead for Princes Group as we continue to shape the future of food.”
Shares will begin trading at 8am this morning under the ticker ‘PRN’.
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The float is one of the biggest on the London market in recent years following a dearth in listings.
Alternative lender Shawbrook completed £1.9m flotation earlier this week, while cosmetic tech firm Beauty Tech Group floated earlier this month.
Liverpool-headquartered Princes is aiming to add between £1bn and £1.5bn in revenues via acquisitions following the IPO.
The group was previously owned by Japan’s Mitsubishi prior to a £700m sale to Italy’s Newlat, which subsequently changed its name to New Princes.
Executive chairman Angelo Mastrolia said: “Today’s listing is just the beginning of what we expect will be a period of exciting growth and value creation for Princes.
“I would like to sincerely thank all our new investors for the trust they have placed in us. Their confidence reflects a shared belief in Princes’ strong fundamentals and our long-term strategy. We have a clear path to delivering on our strategic objectives and are ready to execute our next phase of growth.
“We have identified a strong pipeline of potential acquisitions, which we can pursue in a short timeframe and which will create additional synergies.
“At the same time, we will continue with our efforts to modernise, enhance and expand Princes’ operations and extensive portfolio of brands. As majority shareholder, NewPrinces has invested in the IPO alongside new investors, demonstrating our shared commitment and confidence in the company’s future success.
“In addition to thanking our investors, I want to express my gratitude to all Princes colleagues and the management team. Without their hard work, dedication and commitment, today would not have been possible. Together, we are building a stronger, more dynamic Princes, ready to deliver on its promise of growth and value creation for years to come.”
New Princes will retain a 83% stake in the Princes Group following the float.
The parent group was allocated 42 million of the 84 million newly issued shares in Princes, investing £200m in the process.
In a statement to the Milan Stock Exchange, where New Princes is listed, the group said that by investing in Princes at a “highly competitive valuation”, shareholders in the Italian company would benefit from “a privileged entry point” into a newly listed company with “significant upside potential”.